What Tech Gadgets Need Insurance the Most?

Just because it isn’t a car or home doesn’t mean it shouldn’t have insurance — countless gadgets in homes are worth more now than ever before. Common appliances and smart wearables become more valuable as connectivity increases and functionality becomes more comprehensive. 

This means stretching our conception of what should be insured. Should the valuable technologies in our lives that create convenience and joy be protected — and in what way?

Reasons to Insurance Tech

With Internet of Things (IoT) expansion into every professional sector and personal application, separation from tech gadgets seems impossible in the modern era. Despite the range of influences that could cause people to consider insurance for tech, many may feel they take care of their items well enough — making insurance unnecessary.

Many rely on technology for their livelihoods, especially in the work-from-home revolution, where the expensive tech in your home office may be your property. If all of your machines decide to permanently shut down before the most critical shareholders meeting of the year — hosted on Zoom — lacking protection could uproot livelihoods in the worst-case scenario. To stay operational 24/7 and to prevent stress from disrupting your life, insurance may be ideal if your life revolves around technology.

Protecting expensive electronics could potentially cover any number of these potential occurrences:

• Cracked screens or frames
• Manufacturing defects
• Water damage
• Debris collection
• Wear and tear from regular use

One of the most convincing statistics is the cost of repairs on tech versus getting a replacement through insurance. Using cellphones as an example, the average cost of fixing a broken screen is $70 to $400. Most insurance premiums would cost less and potentially provide total replacements instead of repairs.

Technologies to Prioritize

When most insurances cover damages outside the owner’s control, adding insurance for gadgets could also cover a wider breadth of accidentals, regardless of what it is. 

Let’s start with some essential gadgets that should be at the forefront of your mind. The coverage of these items could vary depending on the insurance provider and the market value of the item, including:

• Personal computers and laptops
• Cellphones and other handheld devices like e-readers and tablets
• Gaming consoles
• Health monitoring 
• Camera equipment
• Security systems

Another protection you can provide for devices is regular maintenance. This will ensure whatever insurance you invest in will maintain value. Learning how to clean your devices properly, installing antivirus and malware software and staying informed on recalls are some of the best ways to protect devices to supplement insurance policies. 

There are several options for coverage for your electronics. They provide consumers similar benefits but may have different terms and coverage levels. Standard plans you’ll see for electronics insurance include warranties, protection plans and contracts.

Insurance Options for Tech

The best route would be to analyze your insurance to see if there are any surprise coverages. Notably, for homeowners and renters, depending on what company your policy is under, electronics could fall under the personal property portion. Therefore, through circumstances that are not your fault — such as natural disasters or theft — you may be compensated for particular household gadgets. Additional coverage usually covers personal incidents, too, such as damage from dropping your phone.

Most insurances have fine print and caveats, so read thoroughly to ensure the total cost of your tech is available or if there’s a deductible. They may not cover outdated tech or have waiting periods before policies go into effect. It’s also possible you may not have coverage through renter’s or homeowner’s insurance, but add-ons may be available for additional fees for greater coverage.

You could also search credit card statements to see what tech you’ve bought from them. Depending on the terms, many have extended warranties that could cover repair or replacement costs. You may want to pay for large purchases, such as appliances, over time, and credit cards could provide a boost from the manufacturer-offered warranty for additional security.

There is also a more classic route to take by reaching out to a separate insurance company to cover high-cost electronics. Companies like Upsie and Asurion provide electronic device insurance to cover everything from phones to routers, and more common providers like Allstate and Progressive also offer protection plans for customers.

Taking Care of Our Gadgets

Every person’s collection of tech increases yearly. New inventions and conveniences can arrive on doorsteps within hours, creating more stress-free and connected lives — and there are options to ensure it stays that way. Whether you rely on tech for a living or use it to monitor your health, you can assess your habits and priorities to see if insuring your tech is right for you.